View more on these topics

IMA: Data points to diversity


The latest edition of the Investment Management Association annual survey shows 2013 was another ground-breaking year for UK-domiciled authorised funds as assets under management reached £770bn. Retail funds make up about two thirds of this total.  This growth continued into 2014 with assets increasing to £806bn by July including a further £14bn of flows into retail funds.

There is a clear appetite among investors for yield since 2008, and an ongoing interest in asset allocation and outcome-focused approaches, such as targeted absolute return and risk-targeted funds. 

Equity income sales in 2013 were far stronger than fixed income which saw a small outflow, marking the end of a four year-period of exceptionally strong sales. For the year to July net retail sales of equity income funds were almost six times greater than flows into fixed income funds and higher than all of 2013. Equity growth funds saw the highest inflows since the end of the boom, though these fell back somewhat in the year to July as investors seemed to favour equity income products.

This highlights the greater diversity of managed assets.  Where equity funds accounted for close to 90 per cent of funds under management two decades ago, they now represent around 55 per cent. 

Over 80 per cent of retail flows are now being directed into lower charging classes. Whilst transparency has increased, so has complexity, for example via a greater range of share classes.  UK fund managers also observe that while advice may have improved in quality post-RDR, access to it is has become harder, which may lead to an increase in non-advised sales.

This is all taking place at a time of greater regulatory and political scrutiny of both UK fund managers and the broader asset management industry.   While the overall message of the survey is the industry is in good shape, significant challenges and opportunities lie ahead.

Ruth Meade is a senior research analyst at the IMA 


David Shelton: A marketing checklist

The aim of this checklist is to make sure you spend your marketing time and budget as effectively as possible. This will prove invaluable in prioritising marketing activity – and the best way to run campaigns. For each individual marketing campaign ask: What are you trying to achieve? What is the activity about? Who are […]


Robert Reid: MAS has been careless in bad-mouthing advisers

Advisers are no doubt aware of the recent comments made by Money Advice Service chief executive Caroline Rookes at the Labour party conference, where she said she worried about the ethics of advisers.  As reported in Money Marketing, Rookes was asked if she was worried about the ethics of regulated advisers. She said: “Personally, yes. But […]


Treasury hits back over ‘death tax’ annuity criticism

The Treasury has revealed further details of proposals to abolish the 55 per cent pensions “death tax” and hit back at suggestions the reforms could wound annuity providers. A document circulated to the industry by the Treasury, seen by Money Marketing, confirms that from April 2015 the following lump sum death benefits will be tax-free […]


Key Retirement Solutions MD exits in post-Budget restructure

Key Retirement Solutions managing director Paul Wilson has left Key Group after 17 years as part of a post-Budget restructure. The private equity backed firm has launched two new divisions in a bid to capitalise on the Budget pension reforms that come into effect in April 2015. Richard Overson will be managing director of the […]

Auto enrolment – so far so good?

Jamie Clark – Business Development Manager The recent report from the Pensions Policy Institute demonstrates the sheer scale of auto-enrolment so far and what we can expect in the future. We’ve pulled out the key information to save you reading the full report. Auto enrolment in numbers Sources: Pensions Policy Institute, The Future Book: Unravelling […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm